A Study of Globalization, Liberalization and Privatization (LPG) and its impact on Economy

In the year 1990 our country is facing a epidemic economic crisis. Before 1990 the Indian businesses carried within the boundary of our country, there is a restriction in trade of goods and services with other countries. As the economy of the country expands, the need of exchanging goods and service or free flow of business is required. So the globalization, liberalization and privatization(LPG) of economy takes place. By doing this world is considered as one market, business policies are liberalized and some of the government owned business and its control is handed over to a private owners. There are various pros and cons of this economic reforms. This paper deals with the study of it. The various positive effect are sales of goods and services increases, new technology are introduced, market expands, customer increases, less costly products are made available to customers etc. The negative effect are sickness of domestic industries, sales of domestic industries declines, customers are more dependent upon foreign products etc.